The Influence of Technology-Based Leadership Training for Women MSME Owners

Authors

DOI:

https://doi.org/10.56294/saludcyt20251107

Keywords:

leadership, business performance, digital competence, business decision-making, business model

Abstract

MSMEs can strengthen Indonesia's prosperity, by creating added value and strengthening strategic economic sectors. Training for women business owners' skills needs to be supported by external factors that also significantly contribute to the development of business strategies. Business leaders, especially women leaders, play an essential role in bringing their businesses towards the desired goals. However, Women entrepreneurs are considered inferior in leading businesses because of their low abilities compared to men. Women entrepreneurs do not have access to leadership training, use current technology, and are uncertain about making MSME business decisions. The purpose of the study was to determine the relationship between the independent variable (leadership training), the dependent variable (business performance, digital competence, and business decision-making), and the moderating variable (business model innovation). This study involved 45 women entrepreneurs in East Java. Sampling showed a diverse demographic distribution in several districts and cities. The limited number of respondents is because the number of women entrepreneurs in Indonesia is only around 40%.This study uses Partial Least Squares Structural Equation Modeling (PLS-SEM) analysis to determine the relationship between those variables. The study's results showed that leadership training positively and significantly affected business performance, digital competence, and business decision-making. The moderating variable, business model innovation, has an impact on the variables that have been raised previously. This study impacts Women leadership development through training so that Women entrepreneurs can improve sustainable business performance and strategies

References

1. Kilay AL, Simamora BH, Putra DP. The Influence of E-Payment and E-Commerce Services on Supply Chain Performance: Implications of Open Innovation and Solutions for the Digitalization of Micro, Small, and Medium Enterprises (MSMEs) in Indonesia. J Open Innov Technol Mark Complex [Internet]. 2022;8(3):119. Available from: https://doi.org/10.3390/joitmc8030119

2. Lin B, Xu C. Digital inclusive finance and corporate environmental performance: Insights from Chinese micro, small- and medium-sized manufacturing enterprises. Borsa Istanbul Rev [Internet]. 2024;(June 2023). Available from: https://doi.org/10.1016/j.bir.2024.02.009

3. Maksum IR, Sri Rahayu AY, Kusumawardhani D. A social enterprise approach to empowering micro, small and medium enterprises (SMEs) in Indonesia. J Open Innov Technol Mark Complex [Internet]. 2020;6(3):50. Available from: https://doi.org/10.3390/joitmc6030050

4. Takeda A, Truong HT, Sonobe T. The impacts of the COVID-19 pandemic on micro, small, and medium enterprises in Asia and their digitalization responses. J Asian Econ [Internet]. 2022;82(August):101533. Available from: https://doi.org/10.1016/j.asieco.2022.101533

5. Discua Cruz A, Hamilton E, Campopiano G, Jack SL. Women’s entrepreneurial stewardship: The contribution of women to family business continuity in rural areas of Honduras. J Fam Bus Strateg [Internet]. 2022;15(1):100505. Available from: https://doi.org/10.1016/j.jfbs.2022.100505

6. Korzenevica M, Fallon Grasham C, Johnson Z, Gebreegzabher A, Mebrahtu S, Zerihun Z, et al. Negotiating spaces of marginality and independence: On women entrepreneurs within Ethiopian urbanization and water precarity. World Dev [Internet]. 2022;158:105966. Available from: https://doi.org/10.1016/j.worlddev.2022.105966

7. Lopatka A. Entrepreneurial competencies of women ICT start-up. Procedia Comput Sci [Internet]. 2021;192:5122–9. Available from: https://doi.org/10.1016/j.procs.2021.09.290

8. Alsaad RI, Hamdan A, Binsaddig R, Kanan MA. Empowerment sustainability perspectives for Bahraini women as entrepreneurs. Int J Innov Stud [Internet]. 2023;7(4):245–62. Available from: https://doi.org/10.1016/j.ijis.2023.04.003

9. Fidalgo-Blanco Á, Sein-Echaluce ML, García-Peñalvo FJ, Balbín AM. How to share the leadership competence among the team members in active learning scenarios: Before, during and after COVID-19 pandemic. Heliyon. 2023;9(8).

10. Noor J, Tunnufus Z, Handrian VY, Yumhi Y. Green human resources management practices, leadership style and employee engagement: Green banking context. Heliyon [Internet]. 2023;9(12):e22473. Available from: https://doi.org/10.1016/j.heliyon.2023.e22473

11. Lavoie-Tremblay M, Boies K, Clausen C, Frechette J, Manning K, Gelsomini C, et al. Nursing leaders’ perceptions of the impact of the Strengths-Based Nursing and Healthcare Leadership program three months post training. Int J Nurs Stud Adv. 2024;6(March).

12. Hall K, Bardier C, Greer D, Clayton A, Poblete R. Unleashing leadership potential in unprecedented times: Lessons learned from an evaluation of a virtual cohort-based adaptive leadership program for public health executives. Public Heal Pract [Internet]. 2024;8(June):100532. Available from: https://doi.org/10.1016/j.puhip.2024.100532

13. Lin JY, Yang Z, Li Y, Zhang Y. Development strategy and the MSMEs finance gap Development strategy and the MSMEs finance gap. J Gov Econ [Internet]. 2022;5(February):100034. Available from: https://doi.org/10.1016/j.jge.2022.100034

14. Jorzik P, Antonio JL, Kanbach DK, Kallmuenzer A, Kraus S. Sowing the seeds for sustainability: A business model innovation perspective on artificial intelligence in green technology startups. Technol Forecast Soc Change [Internet]. 2024;208(April):123653. Available from: https://doi.org/10.1016/j.techfore.2024.123653

15. Coffay M, Bocken N. Sustainable by design: An organizational design tool for sustainable business model innovation. J Clean Prod [Internet]. 2023;427(January):139294. Available from: https://doi.org/10.1016/j.jclepro.2023.139294

16. Laguna-Sánchez P, Segovia-Pérez M, de la Fuente-Cabrero C, Vargas-Pérez AM. A collaborative model for leadership education in high-potential university women students. J Open Innov Technol Mark Complex. 2021;7(2).

17. De Simone V, Pasquale V Di, Miranda S. An overview on the use of AI/ML in Manufacturing MSMEs: solved issues, limits, and challenges. Procedia Comput Sci [Internet]. 2022;217(2022):1820–9. Available from: https://doi.org/10.1016/j.procs.2022.12.382

18. Chawan A, Vasudevan H. Knowledge management practices in Indian manufacturing MSMEs: Challenges and opportunities. Procedia Eng [Internet]. 2014;97:1784–7. Available from: http://dx.doi.org/10.1016/j.proeng.2014.12.331

19. Grill M, Ulfdotter Samuelsson A, Matton E, Norderfeldt E, Rapp-Ricciardi M, Räisänen C, et al. Individualized behavior-based safety-leadership training: A randomized controlled trial. J Safety Res [Internet]. 2023;87:332–44. Available from: https://doi.org/10.1016/j.jsr.2023.08.005

20. Ho MHW, Chung HFL, Kingshott R, Chiu CC. Customer engagement, consumption and firm performance in a multi-actor service eco-system: The moderating role of resource integration. J Bus Res [Internet]. 2020;121(April 2019):557–66. Available from: https://doi.org/10.1016/j.jbusres.2020.02.008

21. Page A, Sealy R, Parker A, Hauser O. Regulation and the trickle-down effect of women in leadership roles. Leadersh Q [Internet]. 2023;(June):101721. Available from: https://doi.org/10.1016/j.leaqua.2023.101721

22. Handaragama S, Kusakabe K. Participation of women in business associations: A case of small-scale tourism enterprises in Sri Lanka. Heliyon [Internet]. 2021;7(11):e08303. Available from: https://doi.org/10.1016/j.heliyon.2021.e08303

23. Sigcha E, Sucozhañay D, Siguenza-Guzman L, Vanegas P. Evaluating the social performance of Ecuadorian textile MSMEs using Social Organizational Life Cycle Assessment. Clean Environ Syst. 2024;12(February):100176.

24. Ataei P, Karimi H, Zarei R. The role of entrepreneurial leadership, intellectual capital, innovativeness culture, and entrepreneurial orientation in entrepreneurial opportunity recognition by students. J Open Innov Technol Mark Complex [Internet]. 2024;10(2):100265. Available from: https://doi.org/10.1016/j.joitmc.2024.100265

25. Clinton E, Uddin Ahmed F, Lyons R, O’Gorman C. The drivers of family business succession intentions of daughters and the moderating effects of national gender inequality. J Bus Res [Internet]. 2024;184(July):114876. Available from: https://doi.org/10.1016/j.jbusres.2024.114876

26. Plaza-Angulo JJ, López-Toro AA. The perception of transversal skills among students of business administration: Gender gap. Service-learning, gender and skills in higher education. Int J Manag Educ. 2024;22(2).

27. Wu S, Luo Y, Zhang H, Cheng P. Entrepreneurial bricolage and entrepreneurial performance: The role of business model innovation and market orientation. Heliyon [Internet]. 2024;10(4):e26600. Available from: https://doi.org/10.1016/j.heliyon.2024.e26600

28. Caballero-Morales SO. Innovation as recovery strategy for SMEs in emerging economies during the COVID-19 pandemic. Res Int Bus Financ [Internet]. 2021;57(February):101396. Available from: https://doi.org/10.1016/j.ribaf.2021.101396

29. Ndiaye N, Abdul Razak L, Nagayev R, Ng A. Demystifying small and medium enterprises’ (SMEs) performance in emerging and developing economies. Borsa Istanbul Rev [Internet]. 2018;18(4):269–81. Available from: https://doi.org/10.1016/j.bir.2018.04.003

30. Bachmann N, Rose R, Maul V, Hölzle K. What makes for future entrepreneurs? The role of digital competencies for entrepreneurial intention. J Bus Res [Internet]. 2024;174(October 2022):114481. Available from: https://doi.org/10.1016/j.jbusres.2023.114481

31. Peter MK, Kraft C, Lindeque J. Strategic action fields of digital transformation: An exploration of the strategic action fields of Swiss SMEs and large enterprises. J Strateg Manag. 2020;13(1):160–80.

32. Bhatta DD, Pi Y, Sarfraz M, Jaffri ZUA, Ivascu L, Ozturk I. What determines the entrepreneurial intentions of employees? A moderated mediation model of entrepreneurial motivation and innovate work behavior. Heliyon. 2024;10(2).

33. Hidayat-ur-Rehman I, Alsolamy M. A SEM-ANN analysis to examine sustainable performance in SMEs: The moderating role of transformational leadership. J Open Innov Technol Mark Complex [Internet]. 2023;9(4):100166. Available from: https://doi.org/10.1016/j.joitmc.2023.100166

34. del Val Núñez MT, de Lucas Ancillo A, Gavrila Gavrila S, Gómez Gandía JA. Technological transformation in HRM through knowledge and training: Innovative business decision making. Technol Forecast Soc Change. 2024;200(December 2023).

35. Bican PM, Brem A. Digital Business Model, Digital Transformation, Digital Entrepreneurship: Is there a sustainable “digital”? Sustain. 2020;12(13):1–15.

36. Anjum T, Farrukh M, Heidler P, Tautiva JAD. Entrepreneurial intention: Creativity, entrepreneurship, and university support. J Open Innov Technol Mark Complex. 2021;7(1):1–13.

37. Colovic A. Leadership and business model innovation in late internationalizing SMEs. Long Range Plann [Internet]. 2022;55(1):102083. Available from: https://doi.org/10.1016/j.lrp.2021.102083

38. Liengaard BD. Measurement invariance testing in partial least squares structural equation modeling. J Bus Res [Internet]. 2024;177(February 2023):114581. Available from: https://doi.org/10.1016/j.jbusres.2024.114581

39. Yudatama U, Hidayanto AN, Nazief BAA, Phusavat K. Data to model the effect of awareness on the success of IT Governance implementation: A partial least squares structural equation modeling approach (PLS-SEM). Data Br [Internet]. 2019;25:104333. Available from: https://doi.org/10.1016/j.dib.2019.104333

40. Elnagar A, Alnazzawi N, Afyouni I, Shahin I, Bou Nassif A, Salloum SA. Prediction of the intention to use a smartwatch: A comparative approach using machine learning and partial least squares structural equation modeling. Informatics Med Unlocked [Internet]. 2022;29(January):100913. Available from: https://doi.org/10.1016/j.imu.2022.100913

41. Tarihoran ADB, Hubeis M, Jahroh S, Zulbainarni N. Market-based dynamic capabilities for MSMEs: Evidence from Indonesia’s ornamental fish industry. J Open Innov Technol Mark Complex [Internet]. 2023;9(3):100123. Available from: https://doi.org/10.1016/j.joitmc.2023.100123

42. Rui J, Xu Y, Li X. Destigmatizing urban villages by examining their attractiveness: Quantification evidence from Shenzhen. Habitat Int [Internet]. 2024;150(June):103120. Available from: https://doi.org/10.1016/j.habitatint.2024.103120

43. Smith AR, Colombi JM, Wirthlin JR. Rapid development: A content analysis comparison of literature and purposive sampling of rapid reaction projects. Procedia Comput Sci [Internet]. 2013;16:475–82. Available from: http://dx.doi.org/10.1016/j.procs.2013.01.050

44. Hendratmi A, Agustina TS, Sukmaningrum PS, Widayanti MA. Livelihood strategies of women entrepreneurs in Indonesia. Heliyon [Internet]. 2022;8(9):e10520. Available from: https://doi.org/10.1016/j.heliyon.2022.e10520

45. Farhan BY. Visionary leadership and innovative mindset for sustainable business development: Case studies and practical applications. Res Glob [Internet]. 2024;100219. Available from: https://doi.org/10.1016/j.resglo.2024.100219

46. Wiroonrath S, Phanniphong K, Somnuk S, Na-Nan K. Impact of leader support on open innovation: The mediating role of organizational culture, intellectual property, and collaboration. J Open Innov Technol Mark Complex [Internet]. 2024;10(3):100333. Available from: https://doi.org/10.1016/j.joitmc.2024.100333

47. Pham TPT, Van Nguyen T, Van Nguyen P, Ahmed ZU. The pathways to innovative work behavior and job performance: Exploring the role of public service motivation, transformational leadership, and person-organization fit in Vietnam’s public sector. J Open Innov Technol Mark Complex [Internet]. 2024;10(3):100315. Available from: https://doi.org/10.1016/j.joitmc.2024.100315

48. Hulla M, Herstätter P, Wolf M, Ramsauer C. Towards digitalization in production in SMEs - A qualitative study of challenges, competencies and requirements for trainings. Procedia CIRP [Internet]. 2021;104(March):887–92. Available from: https://doi.org/10.1016/j.procir.2021.11.149

49. Fahma F, Sutopo W, Pujiyanto E, Nizam M. Dynamic open innovation to determine technology-based interoperability requirement for electric motorcycle swappable battery. J Open Innov Technol Mark Complex [Internet]. 2024;10(2):100259. Available from: https://doi.org/10.1016/j.joitmc.2024.100259

50. Fernandez-Pinto H, Duarte CAM, Villamizar SP, Suarez JES. Horizontal innovation: The core of open innovation in the construction of the dynamic capacities in the Colombian industry. J Open Innov Technol Mark Complex [Internet]. 2024;10(1):100229. Available from: https://doi.org/10.1016/j.joitmc.2024.100229

51. Asmamaw AT, Semela T. Are African academic women more emotionally intelligent than men? Exploring emotional intelligence, gender, and leadership in higher education. Heliyon [Internet]. 2023;9(12):e22949. Available from: https://doi.org/10.1016/j.heliyon.2023.e22949

52. Ali M, Khan TI, Khattak MN, ŞENER İ. Synergizing AI and business: Maximizing innovation, creativity, decision precision, and operational efficiency in high-tech enterprises. J Open Innov Technol Mark Complex. 2024;10(3).

53. Osobajo OA, Oke A, Ajimmy M, Otitoju A, Adeyanju GC. The role of culture in stakeholder engagement: Its implication for open innovation. J Open Innov Technol Mark Complex [Internet]. 2023;9(2):100058. Available from: https://doi.org/10.1016/j.joitmc.2023.100058

54. Fatimah YA, Kannan D, Govindan K, Hasibuan ZA. Circular economy e-business model portfolio development for e-business applications: Impacts on ESG and sustainability performance. J Clean Prod [Internet]. 2023;415(April):137528. Available from: https://doi.org/10.1016/j.jclepro.2023.137528

55. Böckin D, Goffetti G, Baumann H, Tillman AM, Zobel T. Business model life cycle assessment: A method for analysing the environmental performance of business. Sustain Prod Consum [Internet]. 2022;32:112–24. Available from: https://doi.org/10.1016/j.spc.2022.04.014

56. Annisa LH, Mahendrawathi ER. Impact of alignment between social media and business processes on SMEs’ business process performance: A conceptual model. Procedia Comput Sci [Internet]. 2019;161:1106–13. Available from: https://doi.org/10.1016/j.procs.2019.11.222

57. Li C, Khan A, Ahmad H, Shahzad M. Business analytics competencies in stabilizing firms’ agility and digital innovation amid COVID-19. J Innov Knowl [Internet]. 2022;7(4):100246. Available from: https://doi.org/10.1016/j.jik.2022.100246

58. Peñarroya-Farell M, Miralles F. Business model dynamics from interaction with open innovation. J Open Innov Technol Mark Complex [Internet]. 2021;7(1):81. Available from: https://doi.org/10.3390/joitmc7010081

59. Loučanová E, Olšiaková M, Štofková J. Open Business Model of Eco-Innovation for Sustainability Development: Implications for the Open-Innovation Dynamics of Slovakia. J Open Innov Technol Mark Complex. 2022;8(2).

60. Nguyen PH, Thi Nguyen LA, Thi Nguyen TH, Vu TG. Exploring complexities of innovation capability in Vietnam’s IT firms: Insights from an integrated MCDM model-based grey theory. J Open Innov Technol Mark Complex [Internet]. 2024;10(3):100328. Available from: https://doi.org/10.1016/j.joitmc.2024.100328

61. Alzoubi HM, Aziz R. Does emotional intelligence contribute to quality of strategic decisions? The mediating role of open innovation. J Open Innov Technol Mark Complex [Internet]. 2021;7(2):130. Available from: https://doi.org/10.3390/joitmc7020130

62. Turoń K. From the Classic Business Model to Open Innovation and Data Sharing—The Concept of an Open Car-Sharing Business Model. J Open Innov Technol Mark Complex. 2022;8(1).

63. Peñarroya-Farell M, Miralles F, Vaziri M. Open and sustainable business model innovation: An intention-based perspective from the Spanish cultural firms. J Open Innov Technol Mark Complex [Internet]. 2023;9(2):100036. Available from: https://doi.org/10.1016/j.joitmc.2023.100036.

Downloads

Published

2025-01-01

How to Cite

1.
Wulandari D, Hilmi Prayitno P, Basuki A, Rahman Prasetyo A, Aulia F, Gunawan A, et al. The Influence of Technology-Based Leadership Training for Women MSME Owners. Salud, Ciencia y Tecnología [Internet]. 2025 Jan. 1 [cited 2024 Dec. 10];5:1107. Available from: https://sct.ageditor.ar/index.php/sct/article/view/1107